Shenandoah Telecommunications Company completed its Virginia Telecommunications Initiative project in Bedford County, adding gigabit‑capable broadband to more than 4,900 homes that previously had no high‑speed internet access. The $24 million construction effort was financed through a combination of the state‑administered VATI program, Shentel capital, and a contribution from Bedford County, underscoring the public‑private partnership model that underpins the company’s rural expansion strategy.
The project expands Shentel’s fiber footprint and positions the company to capture new residential and small‑business customers in a largely underserved market. By extending high‑speed connectivity to rural households, Shentel strengthens its fiber‑first strategy and enhances its competitive position across the eight‑state service region.
Shenandoah’s Q4 2025 earnings provide context for the significance of this milestone. Total revenue grew 7.2% to $91.6 million, and full‑year revenue rose 9.1% to $357.9 million. Adjusted EBITDA increased 31.3% to $33.5 million, with margins expanding to 36.5%. The company reported a net loss of $5.4 million in Q4 and $32.9 million for the year, reflecting ongoing investment in fiber buildouts. Glo Fiber revenue surged 39.0% in Q4 and 42.7% for the year, while net capital expenditures totaled $296 million after grants. A $567.4 million asset‑backed securitization is expected to reduce annual cash interest expense by over $10 million and fully fund the Glo Fiber build by the end of 2026.
"We finished 2025 with strong momentum, executing on our growth strategy, strengthening the balance sheet, and enhancing our high‑value fiber businesses. Our Asset‑Backed Securitization refinancing will reduce annual cash interest expense by over $10 million and fully fund completion of our Glo Fiber build by the end of 2026. With Glo Fiber and Commercial Fiber serving as primary growth engines, we are well positioned for sustained long‑term growth and positive free cash in 2027," said President and CEO Ed McKay.
"The completion of this VATI project in Bedford County is a powerful example of what can be achieved when the Commonwealth, local governments, and private providers work together toward a shared goal. Through our partnership with the Virginia Department of Housing and Community Development and Bedford County, we are delivering reliable, gigabit‑capable broadband to thousands of rural households that previously had little or no access. This investment will support economic growth, enhance educational opportunities, and ensure residents can fully participate in today's digital economy—no matter where they live," said Vice President of Regulatory & Industry Affairs Chris Kyle.
The Virginia Telecommunications Initiative, administered by the Virginia Department of Housing and Community Development, is a state‑funded program designed to close the digital divide in unserved areas. Bedford County’s contribution and the partnership with Shentel demonstrate how local governments can leverage state resources to accelerate broadband deployment, providing rural communities with the connectivity needed for modern commerce, education, and quality of life.
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